Can Reddit Day Traders Crash JP Morgan Short Squeezing Silver?

The Atlantis Report: 

Can Reddit Day Traders Crash JP Morgan Short Squeezing Silver ?!

Jan 29, 2021

A decentralized Reddit forum called WallStreetBets is causing chaos on Wall Street. The WallStreetBets a longstanding subreddit channel where over 4 million users discuss highly speculative trading ideas and strategies, briefly went private on Wednesday in response to millions of new users pouring in.

The Reddit subgroup is operating now by invitation only. WallStreetBets crushes hedge funds and crashes trading apps by creating major short squeezes.

A short squeeze happens when a price increase for an asset prompts a rush in buying activity by those who previously bet that prices would fall.

A short squeeze might sound complicated, but it’s actually a relatively straightforward process. When institutional investors short-sell a stock, what they actually do is borrow a number of shares they believe will drop in value, sell them at the highest price possible and try to buy them back later at a lower price.

If they’re successful, they hand the initial borrowed amount back and pocket the difference. If the market turns against them however, and the price of the shares increase, they are forced to buy the shares back at a loss.

 If the price rises dramatically within a short space of time, it can cause devastating losses for the short-seller.

Major hedge funds have already lost around 7 billion dollars to WallStreetBets day traders short squeezes. WallStreetBets traders are not stopping here; they are now turning to silver for their next short-squeeze target after being restricted from hot stocks like GameStop and AMC.

Silver has become a new target for Reddit day traders after multiple posts on the infamous WallStreetBets subreddit .

For the full transcript go to https://financearmageddon.blogspot.com

https://youtu.be/gd_FCt83H4A?t=1

 

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